Thursday, 3 September 2015
Last updated 5 hours ago
Feb 15 2013 | 2:21am ET
Hedge funds suffered their worst outflows in nearly four years in December, with investors pulling more than $20 billion from the industry as 2012 drew to a close.
The huge withdrawals, the highest in 44 months, swamped the modest inflows that hedge funds had seen during the first 11 months of last year. The $20.7 billion net outflow in December left the industry $14.2 billion poorer for the year, according to BarclayHedge and TrimTabs Investment Research.
“Underperformance versus the S&P 500 Index is a likely culprit in last year’s outflows,” BarclayHedge founder Sol Waksman said. “We found that from 2010 through 2012, hedge funds gained 14.1% while the S&P 500 Index rose 27.9%. That’s a major shift from the trend over the past five years, when hedge funds gained 10.7% while the S&P 500 was essentially flat.”
May 27 2015 | 2:15pm ET
Support Hedge Funds Care, also known as Help For Children (HFC), by participating in this year's raffle. All proceeds go to support HFC's mission of preventing and treating child abuse. Read more…